Public Workshop August 4, 2021 on the Fiscal Year 2021-22 Funding Plan for Clean Transportation Incentives and Carl Moyer Update

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July 20, 2021

Public Workshop on the Fiscal Year 2021-22 Funding Plan for Clean Transportation Incentives and Carl Moyer Update

Public Workshop on August 4, 2021

The California Air Resources Board (CARB or Board) invites you to participate in the second public workshop on the Fiscal Year (FY) 2021-22 Funding Plan for Clean Transportation Incentives. The FY 2021-22 Funding Plan will describe CARB’s proposed investments from the Zero-Emission Vehicle (ZEV) Package and Air Quality Improvement Program included in the State budget. Combined, the FY 2021-22 budget includes over $1.5 billion to accelerate the equitable transition to zero-emission transportation. The workshop meeting will be held via Zoom webinar at the following date and time:

Date:            Wednesday, August 4, 2021
Time:            10:00 a.m. to 3:00 p.m. (PT)
Location:      Webinar/Teleconference 

Please register for the Clean Transportation Incentives Funding Plan Workshop Webinar. After registering, you will receive a confirmation email with information about how to join the webinar by computer or by telephone.


Purpose of Workshop

This is the second public workshop in a series of workshops and work group meetings on development of the FY 2021-22 Funding Plan. Staff will discuss and seek input on the options for expending the over $1.5 billion in ZEV Package funding appropriated to CARB from the Cap-and-Trade Auction Proceeds (California Climate Investments Low Carbon Transportation Funding), California’s General Fund, and Air Pollution Control Fund. These funds include $525 million to support the Clean Vehicle Rebate Project (CVRP), $150 million to support clean transportation equity projects, and $815 million for clean trucks, buses, and off-road equipment, as well as the $28.64 million for the Air Quality Improvement Program. Staff will also present and request input on potential refinements and policy recommendations for ongoing projects.

The workshop agenda is now available. A presentation and a discussion document outlining staffs’ initial proposals on project categories, funding allocations, and project criteria for this funding will also be posted prior to the workshop on CARB’s Low Carbon Transportation/AQIP website.

All interested stakeholders are invited to attend.

More Information


Air Quality Improvement Program (AQIP):  AQIP is a voluntary, mobile source incentive program that focuses on reducing criteria pollutant and diesel particulate emissions with concurrent reductions in greenhouse gas emissions. The FY 2021-22 budget includes $28.64 million for AQIP. AQIP has provided funding for the Clean Vehicle Rebate Project (CVRP), truck and bus vouchers, advanced technology demonstrations, and the Truck Loan Assistance Program since 2009.

California Climate Investments Low Carbon Transportation Funding:  The Low Carbon Transportation program is part of California Climate Investments, a statewide program that puts billions of Cap-and-Trade dollars to work reducing greenhouse gas emissions, strengthening the economy and improving public health and the environment, particularly in disadvantaged communities. These investments accelerate the transition to low carbon freight and passenger transportation with a priority on providing health and economic benefits to California’s most disadvantaged communities. To date, over 56 percent of CARB’s Low Carbon Transportation funding has been in or benefitting low-income and disadvantaged communities, including low-income households.

The FY 2021-22 budget includes $565 million in Cap-and-Trade auction proceeds for the Low Carbon Transportation Program. This amount has been further suballocated to provide $100 million for CVRP, $150 million for clean transportation equity projects, and $315 million for heavy-duty vehicles and equipment. This year’s appropriation is being augmented by an additional $925 million from the General Fund and Air Pollution Control Fund as part of a three-year ZEV acceleration package to equitably develop the ZEV market. This additional funding is described below.

General Fund:  This year’s State budget appropriates significant one-time funding from the General Fund to supplement funding from the Air Pollution Control Fund and Low Carbon Transportation Investments to build upon previous investments and provide the additional resources necessary to accelerate the ZEV transition, both in the light-duty and heavy-duty transportation sectors. For Fiscal Year 2021-22, the State budget includes General Fund appropriations to CARB of $425 million to support CVRP, $98 million to support heavy-duty trucks buses and off-road equipment, and a total of $315 million to support the deployment of zero-emission drayage trucks, school buses, and transit buses. Additionally, the budget includes $45 million dollars to support on-road engines meeting the 0.02 gram per brake horsepower-hour or lower certified nitrogen oxides standard through the Carl Moyer Program. At this workshop, staff will discuss the allocation of $45 million dollars and whether changes to the existing optional advanced technology-cost effectiveness limit is necessary to support these engines.

Air Pollution Control Fund:  The Air Pollution Control Fund is used to put penalties and fees collected from polluters to work improving air quality in the State. The FY 2021-22 Budget includes a one-time appropriation of $86.45 million from the Air Pollution Control Fund to support clean trucks, buses, and off-road equipment.

Annual Funding Plan:  The annual funding plan is each year’s blueprint for expending Low Carbon Transportation, AQIP, and related funds appropriated to CARB in the State budget. The plan describes CARB’s policy drivers and vision for advanced technology mobile source investments, eligible project categories and criteria, project funding allocations, program implementation details, and the justification for these investments. 


If you have questions regarding the workshop, please contact Ms. Andrea Morgan, Air Resources Engineer.

If you require a special accommodation or need this document in an alternate format (i.e., Braille, large print) or another language, please email us as soon as possible.